Oman-based Meethaq, the Islamic banking unit of Bank Muscat, recently signed an agreement to provide Islamic finance to the Oman Munition Production Company (OMPC) set up by the Ministry of Defence, said a report.

Mohammed bin Nasser bin Mohammed al Rasbi, chairman of OMPC, and Sulaiman bin Mohammed Al Yahyai, vice chairman of Bank Muscat, signed the agreement at the bank’s head office in the presence of dignitaries, senior government and Bank Muscat officials led by Abdul Razak Ali Issa, chief executive of Bank Muscat, added the Times of Oman report.

Al Rasbi said that OMPC is proud to join hands with Meethaq to establish the ammunition project aimed at making a significant contribution to the country’s defence capabilities.

He said that the project will lay a solid foundation for localised ammunition production and contribute to Oman’s gross domestic product (GDP) by reducing imports and creating employment in the defence equipment production sector in Oman.